WASHINGTON (Reuters) - The government's debt limit would be
raised to $10.2 trillion under a budget plan for next year
approved by the U.S. House of Representatives.

The House's fiscal 2009 budget, which passed on Thursday,
would increase U.S. borrowing authority by $385 billion from
the current limit of $9.815 trillion, according to the House
Budget Committee.

The Senate on Friday passed its own version of a fiscal
2009 budget that did not address the question of raising
federal borrowing authority.

The two chambers in coming weeks are expected to try to
work out their differences and then pass a budget for next year
that would spend $3 trillion while projecting a deficit in the
range of $340 billion to $366 billion for the year.

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It is not clear whether negotiators will adjust the House's
proposed $10.2 trillion debt limit.

Large annual deficits have caused the federal debt to climb
steeply since President George W. Bush took office, rising from
$5.6 trillion in January, 2001, to $9.3 trillion on Wednesday.

Congress last approved an increase in Washington's
borrowing authority last September, increasing the credit limit
by $850 billion.

Some lawmakers recently have estimated that the Treasury
Department could bump up against the current $9.815 trillion
limit either shortly after November presidential and
congressional elections or early next year, depending on
revenues and economic performance.